Fundamental Analysis

NAHAR POLY FILMS LTD.

Ticker : 523391  
BUY: Rs 269.90
Target: Rs 305

Nahar Poly Films is involved in the business of manufacturing BOPP films. The company produces a range of films such as packaging films, label films, industrial films and lamination films. Analyzing the consolidated quarterly results, the company recorded a robust increase of 36.22 per cent in net sales and operating income is at Rs 104.37 crore for Q2FY22 as compared to net sales and operating income of Rs 76.62 crore reported for Q2FY21. The operating profit for the quarter was recorded at Rs 24.05 crore in Q2FY22 as compared to an operating loss of Rs 16.23 crore posted in Q2FY21. The company reported a net profit of Rs 17.87 crore in Q1FY22 versus Rs 12.41 crore recorded in Q2FY21, a rise of 43.94 per cent. The company is hopeful that the improvement in the global demand and opening of the global economies of the world will definitely give a push to the prospects of the packaging industry. Hence, we recommend BUY.